Report: 80% of pharma outsource some of their government reimbursement budgets
Eighty percent of surveyed pharma companies outsource some portion of their government reimbursement budgets, including third-party audits that can help companies remain compliant to changing industry guidelines, according to Cutting Edge Information, a Research Triangle Park, N.C.-based pharmaceutical business intelligence provider.
In the survey, advisors indicated that many companies either are unaware of or ignore government pricing and other trade policy guidelines set forth by the Office of Inspector General (OIG), which often are priority areas for government agencies.
"The Affordable Care Act has served as a catalyst for change in the pharmaceutical industry. The new guidelines, however, can be confusing and it is therefore imperative that companies take appropriate steps to ensure that they are government compliant," said Jacob Presson, senior research analyst at Cutting Edge Information. "An OIG compliance audit from a third-party advisor can mitigate the risk of trouble with the U.S. Department of Justice."
Presson said, “Companies outsource up to a quarter of their government reimbursement budgets on a variety of activities, including customer relationship management, price model-building and auditing. The type of outsourced activity will vary depending on the size and needs of a company, but according to one interviewed executive, third-party vendors "touch the entire food chain from reps to CEO."